Hospitality Industry Risk Update: Colorado Considers Legislation Limiting Workplace Surveillance Of Employees Who Filed “Workers Compensation” Claim

(From a BusinessInsurance.com article posting) Legislation that would restrict video surveillance of employees who have filed a workers compensation claim by insurers and self-insured employers has been approved by a Colorado House committee.

Workplace surveillance would be limited by pending Colorado legislation.

Colorado’s House Judiciary Committee approved H.B. 10-1012, sponsored by state Rep. Sal Pace, D-Pueblo, on a 6-4 vote last week. The bill would prohibit insurers or employers from conducting surveillance of workers comp claimants unless they have “a reasonable basis to suspect that the employee has committed fraud or made a material misstatement concerning the claim.”

 Claimants would be allowed to ask for an expedited hearing to learn why they are being investigated and individuals conducting the surveillance would be required to respond fully to questions.

 The legislation, which now goes to the Colorado House Appropriations Committee, also sets up a $1,000-a-day penalty for violations. A similar bill is pending in the Colorado Senate.

 Separately, Denver-based Pinnacol Assurance, a state-created workers comp insurer, said in a statement Tuesday that it is prepared to give the state $200 million to remove it from state control become a policyholder-owned workers comp insurer.

http://www.businessinsurance.com/article/20100216/NEWS/100219948

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